Misery joins Panda production at Ekati

Vancouver — Canada’s only diamond mine is expected to get a modest boost in production now that BHP Billiton (BHP-N) is recovering diamonds from a second kimberlite pipe some 29 km south of the main processing plant.

Dubbed Misery, the pipe is the second of eight slated for production during the life of the Ekati mine in the Northwest Territories. Since the launch of production in 1998, all the stones mined have come from the Panda pipe.

Misery contains a proven and probable open-pit reserve of 5.4 million tonnes grading 3.3 carats per tonne at US$34 per carat. Misery’s stones contain an estimated value of US$34 per carat, compared to US$168 per carat for Panda. Originally the mine plan called for mining five pipes, but last year the major amended its plan to integrate the Sable, Pigeon and Beartooth pipes.

Diamonds from the Misery pipe will be included in BHP’s sales assortments starting this month.

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